Author: Julius Alagbe

FGN Bonds Yield Climbs Slightly to 19.48% on Thin Trading Trading activity on Federal Government of Nigerian (FGN) bonds remains subdued in the secondary market, keeping the benchmark yield little changed at 16.48% on Thursday. The market saw subdued yield movements across benchmark maturities that pushed the average yield up slightly by a basis point. Lower supply and expectation of reduced spot rates have lowered transactions level in the secondary market. Debt Management Office tight bonds supply and other market signals have forced investors to keep their portfolio build up intact. Traders reported that trading activity was softer; fixed interest…

CBN Increases Rate on 364-Day Nigerian Treasury Bills The Central Bank of Nigeria (CBN) increased the spot rate on Nigerian Treasury bills with 364-day maturity to 16.50%, according to details from its primary market auction results on Wednesday. The Apex Bank, through the Debt Management Office (DMO), opened N220 billion in Treasury bills across standard tenors for subscription on Wednesday. The offer was significantly oversubscribed, with investors showing interest in long duration. The CBN offered Nigerian Treasury bills with 91 days maturity worth N60 billion for investors subscription. At the mid tenor, 184-day treasury bills worth N20 billion was opened…

NGX Index Rises Intraday as Banking, Insurance Stock Rally The Nigerian Exchange (NGX) all-share index pops higher during the intraday trading session on Wednesday, driven by bargain hunting in banking and insurance indices, among others. The Nigerian Bourse is still making an uptrend as investors’ sentiment remains solid with impressive earnings releases and dividend declarations from dividend aristocrats. The market index is already higher by 53 basis points, and this suggest positive close on the day. Buying interest has refused to slow as investors rotate assets from the fixed income market due to declining yields. Some positions in the Nigerian…

CSL Stockbrokers Top 10 Stock Picks for Upside Potentials ACCESSCORP | BUY | TP: ₦43.88 | Rated – Access Holdings Plc, Nigeria’s largest financial services group by assets, presents a compelling investment opportunity, supported by decent financial performance, strategic capital initiatives, and a diversified business model. As of financial year 2024, CSL Stockbrokers highlighted that the Group maintained a strong capital adequacy ratio of 20.46%. Access Holdings asset quality is noted to remain healthy, with a Q1 2025 annualised cost of risk (COR) of 0.8%, though analysts said they expect a moderate increase due to the end of the forbearance…

Zambia Unlocks Access to Additional Credit Facility from IMF Zambia has unlocked access to an additional loan from the International Monetary Fund (IMF) following the completion of the Article IV consultation and the fifth review of the country’s 38-month Extended Credit Facility (ECF) arrangement approved on August 31, 2022, and financing assurances. In an official statement, the IMF said the completion of this review allows for an immediate disbursement of about US$184 million, bringing Zambia’s total disbursement under the ECF-supported program to about US$1.55 billion. According to IMF, the ECF seeks to entrench macroeconomic stability, restore debt and fiscal sustainability,…

Equity Investors Gain N584bn as BUA Cement, Oando Rally Equity investors gained about N574 billion as value hunters continue to set the Nigerian Exchange (NGX) on investing fire, a trend that has persisted for long and seems not ready to fizzle out. Stockbrokers told MarketForces Africa the ongoing earnings releases festival and flood of interim dividend announcements by local dividend aristocrats continue to fuel the monster rallies. The Nigerian Exchange benchmark Index (ASI) advanced by 0.64% to close at 144,074.23 points, driving the year-to-date return to 40.87%. This upward movement reflects sustained investor optimism and growing confidence in the strength…

Nigerian Bonds Yields Rise as Investors Begin to ‘Look Away’ The average yield on Nigerian government bonds climbed as fixed interest securities investors began to look away, reducing their holdings at the beginning of the new week. Return on the Nigerian government is gradually becoming unattractive, and some analysts think this could trigger massive selloffs from foreign investors who had converted dollars to naira for their portfolio building. The sell down started last week after the Debt Management Office (DMO) main auction, where N80 billion in local bonds was offered for subscription. Supported by higher subscription records, the authority doubled…

NOVA Bank Refines Strategy for Organic Growth, Reaffirms Commitment to Branch Expansion NOVA Bank has announced its intention of a strategic shift in its operating license from a national to a regional authorisation, a move, which according to the Bank is aimed at optimising operational efficiency and deepening its impact within key markets. The management of the Bank noted that the repositioning aligns with the Bank’s long-term vision to consolidate its strengths, streamline its services, and deploy capital more effectively within targeted regions, without compromising its commitment to innovation, customer satisfaction, and sustainable growth. To this effect, NOVA has applied…

Oil Prices Edge Higher on U.S.-Russia Tensions Oil prices rose on Monday despite the Organization of Petroleum Exporting Countries (OPEC) and its allies members (OPEC+) decision to raise output in September amidst tight US crude inventories, as per the Energy Information Administration data release. The commodity market reacted negatively to tensions between US President Donald Trump and former Russian President Dmitry Medvedev, alongside remarks about nuclear submarines, which have also heightened concerns over global energy security. International benchmark Brent crude was trading at $69.48 per barrel, up 0.30% from the previous session’s close of $69.27. The US benchmark West Texas…

Short-Term Benchmark Interest Rates Ease on Liquidity Surplus Excess liquidity in the banking system kept short-term benchmark interest rates at a floor in the absence of significant mop-up last week. The money market witnessed relative funding stability despite the absence of fresh liquidity injections from the Central Bank of Nigeria (CBN). The liquidity balance in the financial system remained comfortable, with the week opening at a healthy net surplus, averting any significant scramble for funds among financial institutions, analysts at Cowry Asset Limited said. The financial system liquidity opened at ₦1.30 trillion ahead of CBN open market operations targeted to…